Fund companies are asked to mention that past performance is no guide to the future. Just as well, shows a new study

Investors and fund professionals mainly rely on past performance in fund selection. But is this logical? If so, why do regulators insist that funds must be sold with the caveat that past performance is no guide to the future? Indeed, this caveat is a rare piece of wisdom coming...

Stock operators sometimes play an important role in making prices move. They are the least understood part of the market, explains Debashis Basu

Often the stock of a company suddenly shoots up for no apparent reason. The media are usually clueless too, ascribing flimsy reasons to explain the phenomenon. The message boards of stock sites buzz with wild rumours. The stock’s move baffles even...

How much should we expect our equity investments to deliver? Here is a surprising answer

Equities always outperform all other asset classes’. ‘Equities are the best form of investment’. ‘If you want to retire rich and early, buy equities’. These are the mantras of financial planners, mutual funds and stockbrokers, whom the investors fancy to be smart investment advisors. Are these true? They...